South Carolina Legislature Takes Action to Improve, Expand School Choice

“The South Carolina Supreme Court’s recent decision to strike down a program that met the unique learning needs of countless students left many families searching for solutions. We commend the state legislature for its decisive action to strengthen and expand the state’s education scholarship account program, addressing key challenges and maintaining and enhancing educational opportunities for these students—and for many more to come. 

“This legislation represents a critical step toward empowering all families with the freedom to choose the educational environment that best aligns with their children’s needs. By ensuring students retain access to scholarship funding, South Carolina is giving them a stronger foundation to succeed academically and beyond.  

“We are grateful to Gov. Henry McMaster, Senate President Thomas Alexander, Speaker Murrell Smith, Sen. Greg Hembree, Representative Shannon Erickson, Superintendent Ellen Weaver and the legislature for their incredible teamwork passing these critical improvements to the existing Education Scholarship Trust Fund Program that ensure students can continue learning in the schools that best meet their needs.” 

About S 62 

During the 2023 legislative session, South Carolina passed its first education scholarship account (ESA) program, which took effect during the 2024-25 school year. Known as the Education Scholarship Trust Fund Program, the program would provide eligible families with $6,000 flexible-use scholarships they can use on approved educational expenses, including private school tuition, therapies, tutors, curriculum and more.  

School choice opponents filed a lawsuit in October 2023 asking the court to strike down the law, which it did in September 2024. In response, parents of ESA students filed a lawsuit against the South Carolina Department of Education for restricting the program based on a State Supreme Court ruling that is in violation of the United States Constitution. 

To ensure thousands of South Carolina students do not lose the scholarship funds that help them attend the schools that fit their needs, Senate champions filed S 62, which establishes a more expansive ESA program designed to align with the State Supreme Court’s recent ruling.  

This new law: 

• Raises the value of each ESA scholarship from $6,000 in current law to $7,500.  

• Expands the number of available scholarships over time, with 10,000 scholarships in 2025-26 and 15,000 in 2026-27 and beyond. The General Assembly can adjust the number of scholarships above 15,000 based on demand. 

• Sets income limits at 300% of federal poverty for 2025-26 ($96,450 for a family of 4) and 500% after that ($160,750 for a family of 4), which will make 85% of South Carolina children eligible. 

• Removes from the current law the prior public school requirement and eliminates a “wellness check” requirement for students using ESAs for online schooling. 

• Prioritizes applications for siblings of current students, children of active-duty military, students who attended public school the previous year and lower-income families. 

• Clarifies that funding shall be decided annually by the General Assembly, from either the general fund or lottery revenue.  

• Provides language to provide for inter-district open enrollment for scholarship students in every school district. 

• Gives program oversight to an independent trustee appointed by the state superintendent of education. 

The bill now heads to Gov. Henry McMaster for signature.